:

CHAPTER ONE
Introduction
Book Building Method Problems and its Implementation| 1
1.0 Introduction
Initial public offering (IPO), also referred to simply as a "public offering" or "flotation," is when
a company issues common stock or shares to the public for the first time. They are often issued
by smaller, younger companies seeking capital to expand, but can also be done by large priately
owned companies looking to become publicly traded. IPOs generally inole one or more
inestment banks known as "underwriters". The company offering its shares, called the "issuer",
enters a contract with a lead underwriter to sell its shares to the public. The underwriter then
approaches inestors with offers to sell these shares. Initial Public Offering can be made through
the !ixed Price "ethod, #ook #uilding method or a $irect %isting "ethod. !or minimi&e the
risk and attract more inestor to the market. The IPO has three part as mention in the following
diagram. '() *hares are restricted for mutual fund+ another '() shares are restricted for ,on
-esidence #angladeshi .,-#/+ and rest of the 0() shares are allocated for the general public.
Figure 1: IPO allocation percentage
1.1Origin o t!e Report
This report was assigned by Mohammed Zahed Hossain %ecturer, %eading 1niersity, as a
re2uirement for the fulfillment of #,345'(: 6redit "anagement course, department of #usiness
7dministration, %eading 1niersity *ylhet.

Book Building Method Problems and its Implementation| 2
1."O#$ecti%e& o t!e 'tud(
The main ob8ectie of the study is to analy&e the #ook #uilding method in the capital market of
#angladesh. To accomplish this principal ob8ectie, following specific ob8ecties hae been
coered:4
To know what is book building method and its benefits.
To highlight the #angladesh 6apital "arket status with haing #ook #uilding method.
To know how does book building method works.
To know the implementations process of book building in #angladesh capital markets.
To identify the problems and limitations regarding this method that impedes the
deelopment of capital market in #angladesh.
1.) 'cope
The scope of the report was mainly to know about the book building method and its
implementation and problems in #angladesh.
1.)*et!odolog( o t!e 'tud(

The nature of the study will allow us to explore the utili&ation and usefulness of stock exchange
to satisfy our research interest. The study is mainly based on secondary data which will be
collected from different published research articles, 9orld #ank reports, 7nnual reports of
#angladesh #ank, portfolio, published 8ournals, textbooks, websites, and arious published and
unpublished materials. I also conduct in depth interiew, face to face conersation with the
*tockholders and #rokers to collect primary data.
1.+ ,i-itation o t!e &tud(
The scope of the report was ery limited since we were working with book building
method and its implementation in #angladesh capital market.
Information was not aailable in secondary source.
6ommunication gap occurs due to present political situation in #angladesh.
Book Building Method Problems and its Implementation| 3
CHAPTER T.O
/oo01/uilding *et!od
Book Building Method Problems and its Implementation| 4
".0 /oo0 /uilding *et!od
The book building method is one of the two aluation methods of the share price. It was mainly
built by the *ecurities and :xchange 6ommission .*:6/ in collaboration with the $haka *tock
:xchange .$*:/ and 6hittagong *tock :xchange .6*:/ to represent the fair alue of the share
price of a company. It is popular with the organi&ation because of the lesser re2uirements and the
chances of high prices by the eligible institutional inestors. There are always three parties
inoled namely the Issuer, the Issue manager and the :ligible Institutional Inestors .:II/.
The whole process includes Issue managers who arranges underwriters on behalf of the issue and
acts on behalf of the issuer company and deals with the :IIs. The whole process could be
elaborated as below:
Figure ": Co--on /oo0 #uilding procedure
".1 /oo0 /uilding *et!od in /anglade&! Capital *ar0et

#ook #uilding is essentially a process used by companies raising capital through Public
Offerings4either Initial Public Offers .IPOs/ or !ollow4on Public Offers .!POs/ to aid price and
demand discoery. The stock market regulatory body of #angladesh introduced book4building
method on ;th march <((= to ensure fair price in the initial public offerings .IPOs/ for the
entrepreneurs whose companies will go public.
Book Building Method Problems and its Implementation| 5
Issuer
Issue manager
1nderwriters, "utual !unds and *tock #rokers
Investors
Mutual
unds
Is oreign Is
!"Bs
#orporatio
ns
Individua
l
Investors
"." Ho2 /oo0 /uilding .or0
#ook building is a process of price discoery. >ence, the -ed >erring prospectus does not
contain a price. Instead, the red herring prospectus contains either the floor price of the securities
offered through it or a price band along with the range within which the bids can moe. The
applicants bid for the shares 2uoting the price and the 2uantity that they would like to bid at.
Only the retail inestors hae the option of bidding at ?cutoff@. 7fter the bidding process is
complete, the ?cutoff@ price is arried at on the lines of $utch auction. The basis of 7llotment
.-efer A. ';.8/ is then finali&ed and letters allotmentBrefund is undertaken. The final prospectus
with all the details including the final issue price and the issue si&e is filled with -O6, thus
completing the issue process.
".) .!( /oo0 /uilding *et!od
There are some fundamental weaknesses in existing fixed pricing method. These weaknesses are
compelling the releant parties to introduce a new pricing system which would create benefits
for all parties.inestor along with the issuer/.The first and most common flaw of existing fixed
pricing method to all oer the world is that it is, almost in each case, underpriced. 7s we know
companies issue IPO to raise capital from the primary market, but they cannot earn fair price
through fixed pricing method, as it is most often under pricing the offer price as reflected in the
post IPO in the securities. In addition there are other flaws of fixed pricing method, which are:
:xisting fixed pricing method cannot catch the demand of the market, resulting
oersubscription which create aims match between the demand and supply of market. In
fact fixed price offering are priced without first soliciting inestor demand, with price
discoery mainly taking place in the aftermarket.
If there is an oersubscription, allocation is done in prorate basis in fixed pricing method
and underwriter does not hae any control oer allocation.
In fixed pricing method money is blocked for a certain period, which create li2uidity
crisis in the market.
The ownership depends on the winning of the lottery. ,o one can become an owner
of share in existing fixed pricing method if inestor does not win the lottery. 1nder the
fixed pricing method, IPO does not attract the inestors due to4
The inherent weakness of the system, leading companies haing good and authentically
strong fundamental cannot set appropriate price for their issues.
It seals the way of attracting more fund in near future.
Book Building Method Problems and its Implementation| $
In the preailing system, retail inestors gain more than entrepreneurs .sponsors/ of well
performing companies.
".+ /oo01#uilding #eneit&
Introduction of book building is a big step towards deeloping #angladesh capital markets.#ook
#uilding is basically a capital issuance process used in Initial Public Offer .IPO/ which aids price
and demand discoery.
#ook building reduces risk of underaluation for issuers
:nsures fair pricing by factoring in demand, likely to encourage listing of large, well4
reputed companies
It enables small and riskier companies to access e2uity markets as compared to auction
method.
It proides early inestors with li2uidity
It encourages underwriters to proide important after market serices.
!or large issuer book building is less expensie.
It enables issuer to raise large amounts of capital.
*:6 2ualifying conditions for book4building set certain criteria for companies to be
eligible
".3 Eligi#ilit( I&&ue& or /oo01/uilding *et!od
7n issuer may determine issue price of its security being offered following book4building
method .i.e. price discoery process/ sub8ect to compliance with the following:
The issuer
"ust hae at least Tk. C( core net4worth+
*hall offer at least '() shares of paid up capital .including intended offer/ or Tk. C(
crore at face alue, whicheer is higher+
*hall be in commercial operation for at least immediate last three years+
*hall hae profit in two years out of the immediate last three completed financial year+
*hall hae no accumulated loss at the time of application+
*hall be regular in holding annual general meeting+
*hall audit at least its latest financial statements by a firm of chartered accountants from
the panel of auditors of the 6ommission+
Book Building Method Problems and its Implementation| %
*hall appoint separate person as issue manager and registrar to the issue for managing the
offer+
*hall comply with all re2uirements of these -ules in preparing prospectus.
The 6ommission, if it deems appropriate for the interest of inestor or deelopment of
capital market, may exempt or relax any of the aboe prere2uisites.
".4 Price 5i&co%er( or 5eter-ining Indicati%e Price
The price discoery process for determining indicatie price of security will inole the
following institutional inestors registered with or approed by the 6ommission in this regard:
"erchant bankers excepting the issue manager concerned to the proposed issue+
!oreign institutional inestors registered with or approed by the 6ommission+
-ecogni&ed pension funds and proident funds+
#ank and non4bank financial institutions under regulatory control of #angladesh #ank+
Insurance companies regulated under Insurance 7ct, '=C0 .7ct ,o. ID of '=C0/+
Institutional enture capital and institutional inestors registered with or approed by the
6ommission+
*tock $ealer registered with the 6ommission+ and
7ny other artificial 8uridical person permitted by the 6ommission for this purpose.
".6 Procedure& to /e Follo2ed For 5eter-ining Price under /oo01/uilding
*et!od
Issuer shall inite for indicatie price offer from the eligible institutional inestors
through proper disclosure, presentation, document, seminar, road show, etc+
Issuer in association with issue manager and eligible institutional inestors shall 2uote an
indicatie price in the prospectus and submit the same to the 6ommission with copy to
the stock exchanges+
*uch indicatie price range shall be determined as per price indications obtained from at
least fie eligible institutional inestors coering at least three different categories of such
inestors+
-ationale for the indicatie price must be included in the prospectus i.e. the issuer is
re2uired to disclose in detail about the 2ualitatie and 2uantitatie factors 8ustifying the
indicatie price+
The indicatie price shall be the basis for formal price building with an upward and
downward band of <() of indicatie price within which eligible institutional inestors
shall bid for the allocated amount of security+
:ligible institutional inestors bidding shall commence after getting consent from the
6ommission for this purpose+
Book Building Method Problems and its Implementation| &
If institutional 2uota is not cleared at <() below indicatie price, the issue will be
considered cancelled unless the floor price is further lowered within the face alue of
security+
Proided that, the issuer@s chance to lower the price shall not be more than once+
Prospectus will hae to be posted on the 9ebsites of the 6ommission, stock exchanges,
issue manager and issuer at least two weeks prior to the start of the bidding to facilitate
inestors to know about the company and all aspect of offering+
,o institutional inestor shall be allowed to 2uote for more than '() of the total security
offered for sale, sub8ect to maximum of ; bids+
Institutional bidding period will be C to ; working days which may be changed with the
approal of the 6ommission+
The bidding will be handled through a uniform and integrated automated system of the
stock exchanges, or any other organi&ation as decided by the 6ommission, especially
deeloped for book building method+
The olume and alue of bid at different prices will be displayed on the monitor of the
said system without identifying the bidder+
The institutional bidders will be allotted security on pro4rata basis at the weighted
aerage price of the bids that would clear the total number of securities being issued to
them+
Institutional bidders shall deposit their bid with <() of the amount of bid in adance to
the designated bank account and the rest amount to settle the dues against security to be
issued to them shall be deposited within ; working days prior to the date of opening
subscription for general inestors+
In case of failure to deposit remaining amount that is re2uired to be paid by institutional
bidders for full settlement of the security to be issued in their faor, the 6ommission shall
forfeit ;() of bid money deposited by them. The securities earmarked for the bidder who
defaulted in making payment shall be added to the general inestor 2uota.
Eeneral inestors, which include mutual funds and ,-#s, shall buy at the cut4off price+
There shall be a time gap of <; working days or as may be determined by the
6ommission between closure of bidding by eligible institutional inestors and
subscription opening for general inestors+
*ubscription for general inestors shall remain open for the period as specified by the
6ommission+
Eeneral inestors shall place their application through banker to the issue+ and
7ll application money shall be kept in a separate escrow account opened with a
designated bank with prior intimation to the 6ommission. Issuer will not be allowed to
utili&e such money until all the process of issue is completed and 6ommission@s consent
to this effect is obtained.
Book Building Method Problems and its Implementation| '
".7 5i&tri#ution *ec!ani&- or I&&uance o 'ecurit(
The distribution of security to be issued under book4building method will be made in accordance
with the following ratio:
Figure ): $istribution mechanism for issuance of security under book building method .:ligible
Institutional Inestors@ Auota/
".8 *anipulator& /eneiting Fro- /oo0 /uilding *et!od
The introduction of book building system has turned out to be a tool for manipulating market
prices, the 6entre for Policy $ialogue has obsered. Instead of ensuring competition among big
inestors at the Fprice discoeryF stage, the market syndicates are abusing it for placement shares
at an artificially high price. The artificial price is being maintained for sometime .particularly till
the lifting of the lock4in period .'; days/ and after that inestors are found to offload their shares
at higher prices, said the think4tank. #ook building is a new system in #angladesh and only three
instances of such practice are there. The 6P$ analysis found those who hold the priate
placements took out a substantial amount of money by selling shares at high prices during the
first one month. 7s a result, share prices of a particular company fell by CC percent within one
month and ;( percent in the next two months and did not rise thereafter.
".10 'ta0e!older& 5e-and Furt!er C!ange to /oo0 /uilding Rule&
"arket stakeholders hae urged the *ecurities and :xchange 6ommission to erase a proposed
cause on aluation from the draft on an amended book building method. The clause is related to
determining the indicatie price of shares of a company, which will use the book building system
for an initial public offer .IPO/, based on the firmFs earnings per share .:P*/ and net asset alue
.,7D/. They hae argued that if the clause is included in book building rules, an amendment to
other sections or inclusion of new clauses will be meaningless. The *:6 discussed the book
Book Building Method Problems and its Implementation| 1(
building system with $haka and 6hittagong stock exchanges, #angladesh "erchant #ankers
7ssociation, #angladesh 7ssociation of %isted 6ompanies and the Inestment 6orporation of
#angladesh. The proposed clause reads: indicatie price will be such that it does not exceed the
following yardstick: '; times of weighted aerage :P* of the preceding three years or three
times of net asset alue, whicheer is lower but no less than ,7D a share.
7fter the stock market debacle, the goernment in Ganuary <('' directed the *:6 to suspend the
book building method. !ollowing recommendations by a high4profile probe committee on the
share market scam, the goernment instructed the *:6 to alter the book building rules, instead of
stopping the system, as it is well practiced in other countries. The stakeholders also
recommended increasing the number of category of institutional inestors who builds up the
indicatie price. 7s per the draft amendment, the indicatie prices should be supported by at least
<( :IIs including at least fie 2uotations from each of the following category: merchant banks,
commercial banks and asset management companies.
The stakeholders also opposed the proposal of haing a committee composed of experts that will
scrutini&e and erify the audited financial statements submitted in connection with an IPO. They
argued that it would increase the complexity in the IPO process. *ome of them also
recommended reducing the lock4in period for eligible institutional inestors from six months to
three months, while some others re2uested to keep the existing lock4in period of '; days. The
market stakeholders gae different opinions and proposals or suggestions on each and eery
issue of the draft on amendment in the book building method, a meeting source added.
".11 C'E Reco--end& C!ange& to /oo0 /uilding *et!od
The 6hittagong *tock :xchange has made a series of recommendations about the book building
method to make the price discoery system of a companyFs shares effectie. The goernment
suspended the method in Ganuary <('' following criticisms that companies misused the system
to list on the capital market.
*:6 initiated the moe to amend the system after the goernment4sponsored probe committee on
the stock market made recommendations to make a Huni2ue guidelineI for all stakeholders.
!or determining the indicatie price, 6*: has urged the *:6 to consider <; percent of net asset
alue .,7D/, <; percent of past earnings per share .:P*/ and C( percent of future :P* of a
company. The price earnings ratio of similar stock should be '( percent, while the book alue of
a similar stock should be the same as the P: ratio to discoer the indicatie price. In case of PB:
and price book alue of similar stock, the issue manager should use reasonable due diligence.
The checklist of due diligence should be proided by the *:6 to the issuer manager, the 6*:
recommended.
6*: recommended that the bid price during the book building process will be more or less '(
percent of the indicatie price, while the institutional inestors shall be allowed to 2uote more
than ; percent of the total security offered for sale. It said a draft copy of the proposal should
also be sent to #angladesh 7ssociation of Publicly %isted 6ompanies, apart from fie
associations. 6*: said the role of the two bourses and other associations mentioned in the *:6
proposal need to be defined by *:6. The *:6 proposal says hardcopy of draft prospectus will be
sent to #angladesh "erchant #ankers 7ssociation, $haka *tock :xchange, 6*:, #ankers
7ssociation, #angladesh %easing and !inance 6ompanies 7ssociation, Insurance 7ssociation of
#angladesh. 6*: recommended the indicatie price discoery form should be submitted online
Book Building Method Problems and its Implementation| 11
after the road show and within two workdays. The application form should be aailable online, it
said. It said the lock4in period for institutional inestors should be C( days. The 6*: also
suggested the *:6 form a panel of experts and auditors to securiti&e and erify audited financial
statements. The fee of such panel should be determined and paid by the *:6.
*ecurities and :xchange 6ommission .*:6/ of #angladesh has initiated to deelop #ook
#uilding *ystem in collaboration with $haka *tock :xchange .$*:/, 6hittagong *tock
:xchange .6*:/ and 6entral $epository of #angladesh %imited .6$#%/ for the efficient, fair
and transparent price discoery and allocation of securities using #ook #uilding *ystem at the
time of initial public offerings. In this context, *:6 has already made re2uired modifications in
the rules and regulations and notified the stakeholders through its circular.
".1" Eecti%ene&& o #oo0 #uilding -et!od in Capital *ar0et
#ook building method has come into the market in order to ensure fair pricing of a stock to
prospectie large local and foreign profitable firms enlisting in the stock exchanges. It enhances
the depth of local market, and allows the local inestors to be the part of large business entities
and to strengthen corporate goernance. The method was expected to make, disclose and report
to public by more transparent and credible way and to accelerate industriali&ation. It may be used
as a mechanism to raise money from capital market by inflating the stock price een before start
of trading on the same in the stock exchanges. #asically #ook building is a rational way price
discoery by which an issuer attempts to determine the price to offer its security, based on
demand from institutional inestors. It is a market mechanism4based initial public offering .IPO/
pricing method where market demand for a security is identified first to set a fair price of that
security. In #angladesh, a large difference is obsered between the offer price and closing price
on the first day of trading of an IPO under the fixed pricing method and *ecurities and :xchange
6ommission .*:6/ has the exclusie right to 8ustify the offer price of a stock, intended for going
public with no mechanism in place to assess its market demand. #ook building came into
existence with appreciation from to all players and participants in our capital market.
Today it has ironically become the reason to blame itself. There@s arises the Auestions
9hether the book building method itself is faulty or it is getting misused. In case of being faulty,
why it has been used successfully in both deeloped and deeloping countries. In reality capital
market must be allowed to operate on its mechanism where like any other market. -ecently, a
few companies got green signal from the *:6 to go public under the book building method and a
number of companies hae completed their road shows where price of the proposed issue has
been determined using methods like price earrings multiple, market alue multiples, price to
book alue multiple of the similar companies, expected earnings per share .:P*/, and so forth. In
the price earning multiple, the issuer company takes PB: ratios of the similar listed stocks in the
related sector etc., and then multiply it with the issuer companyFs latest audited :P*, or weighted
aerage :P* to determine the price. *trong allegations are there that there is a prior
understanding among the issuer company and the institutional inestors participating in the road
shows. The situation is further worsened when formal bidding is arranged with such inflated
indicatie price where it is obsered that all the bidders offers at upper band . J<() of indicatie
price/ although lower band . 4<() of indicatie price/ is allowed. Perhaps only '; days lock4in
period proides incenties to bid for such higher prices. In a recent study carried out by the 6P$,
it was obsered that out of three companies going to public under the book building method, the
Book Building Method Problems and its Implementation| 12
prices of the two companyFs shares fall significantly below the offer price and a handsome
amount of money was taken out of the market. book building method already hae faced strong
criticism though a good numbers of large and profitable companies are in pipeline to go public
under this method. 7lthough the book building mechanism in #angladesh capital market has not
yielded the expected success yet the market is not likely to moe in the way other international
ones do, without with sufficient success with book building systems by undertaking some
measures such as:
!orcing issuer company to be conseratie in using methods like PB: multiples,
%ooking primarily on its inherent ability to generate future cash flows in offering
indicatie pricing,
Increasing lock4in period to discourage higher bidding by the institutional inestors and
deising specific and consistent pricing mechanism to be used byall companies intending
to go public.
Book Building Method Problems and its Implementation| 13
CHAPTER THREE
FIN5IN9' : RECO**EN5ATION
Book Building Method Problems and its Implementation| 14
).0 Finding& and Reco--endation
#ook4building is regarded as an effectie pricing method that causes lower under pricing
according to literatures and is adopted by the ma8ority of world@s primary markets. *:6 of
#angladesh therefore introduced book4building in IPO pricing process in <((= in order to4
'/ Increase the accuracy of pricing </ Increase the pricing capabilities of institutional inestors.
9hether or not the original ob8ecties hae been achieed, due to the limitation of data, there are
not many empirical studies conducted so far to test the effectieness of book4building in
#angladesh. >oweer all literature agreed that book4building should reduce under4pricing and
increased the pricing accuracy. In summary, we hae receied the following implications:
#ook4building pricing method introduced into #angladesh s market has not reduced price
manipulation as expected+ on the other hand, it has significantly increased possibly due to
other external effects.
#ook4building has to some extent reduced the signaling and ex4ante uncertainty effect on
under4pricing. That is probably because through the deliery of due diligence report to
inestors and two rounds of book4building, more information has been disclosed from the
issuer4side that reduced the unnecessary price discount.
IPOs on $haka *tock :xchange after book4building that hae higher initial return hae
significantly under4perform more than IPOs with lower initial returns. This is probably
due to the oerwhelming demand for blue4chip stocks.
%arge number of institutional inestors inoled in book4building are distorted as signal
of Hhot issueI and cause Hherding behaiorI that sarcastically increased price
manipulations, as public inestors on secondary market in #angladesh closely obsere
the actions from institutions. #esides, under4writers tend to oer4ad8ust offer price based
on the information collected from book4building. 1nder this poor satisfaction leel *:6
K the releant authorities should come forward to implement the best IPO pricing
method specially the ##" to gain the confidence of inestors, issuers as well as ensure
an efficient capital market in #angladesh.
).1 ,i-itation& o /oo0 /uilding *et!od
-etail inestors are not free from certain disadantages compared to institutional inestors in
#ook #uilding, which does not proide an appropriate price discoery mechanism. It is the main
reason why small inestors hae stayed away from the market. The book4building system has arious
limitations. *ome of them are as follows:
It gies underwriter discretion in setting the offer price and allocating shares to inestors.
In addition there are other disadantages of book building method:
Book Building Method Problems and its Implementation| 15
#ook building method faors institutional inestors
It is a mechanism of giing special faor to exclusie faor at the expenses of eeryone
else
!or general inestor book building method is expensie
In the IPOs through the #ook4#uilding route, it would be difficult to find dubious issues
of the kind that put off inestors.
In fact book building method reduces under pricing is somewhat controersial.
The inestors are aware of the arious parameters affecting the market price of the
securities. #ut, such conditions are not commonly found in practice+
There is a possibility of price rigging on listing as promoters may try to bail out syndicate
members.
)." 'u&pen&ion o // -et!od
>oweer, 8ust after a short stunt of little under one year, the *:6 in #angladesh used its
regulatory powers to suspend the use of book building method for raising fresh funds through
IPOs@ late in Ganuary <('' till further orders, since in case of some of the companies, the stock
prices were manipulated by following the book building method as a tool after some of the
companies initially followed the same method. The regulator has been trying to eole a better
method of floating the IPOs, to aoid any such practice of possible misuse of the system.
).) Reco--endation&
'. #engali ersion of ,-# 7pplication form will be helpful for those who don@t know :nglish
<. Online facilities arrangement: launching online submission of the application form would be
really helpful for the non4resident #angladeshi .,-#/ people.
C. #ringing change in IPO procedure by reducing the time of proceeding IPO and simplify the
consent and listing Procedure.
5. $emutuali&ation: It is the process by which a customer4owned mutual organi&ation .mutual/
or co4operatie changes legal form to a 8oint stock company.
;. The banking sectorFs inolement in stocks will hae to be reduced slowly so that banks can
finance more on expansion of trade and commerce.
L. ,eed enforceable and more effectie laws and rules to attract foreign Institutional Inestors.
M. Incentie for priate sector entrepreneurs to access the capital market should be more
noticeable. Tax gap between listed and non4listed companies should increase.
Book Building Method Problems and its Implementation| 1$
Book Building Method Problems and its Implementation| 1%
Conclu&ion

In #angladesh 6apital "arket, There is a huge gap of *upply and $emand side in the 6apital
market. *o, the book building method will encourage big and established companies, from both
home and abroad, to be listed on the stock exchanges, as the book building method ensures a fair
price of a companyFs stocks. The book building method will lead to a price discoery and ensure
fair stock prices which cannot be attained by the current fixed4price method of pricing IPOs.
"oreoer, inestors expressed their positie opinions that the book building method would
enhance market depth, olume and alue turnoer, market capitali&ation, supplies of IPOs among
others. #ook building method is apparently a sophisticated and widely used concept but
unfortunately, this method is being misused with some motie. It needs ade2uate efforts by
regulatory agencies to customi&e it for implementation in #angladesh context.
Reerence&
http:BBwww.munothfinancial.comBbookbuildingM.php
https:BBdocs.google.comBiewerNaOK2Ocache:nab-;wPEbsG:www.secbd.orgB#OO3
)<;<(#1I%$I,E)<;<(!I,7%4
''"7-(=.pdfJKhlOenKglObdKpidOblKsrcidO7$E::*hgko3*-PAc"mTGOf135PO0iQm
"&bgCg-ru71x8%&mCPi"8GleIP<sw;gQ(6em0:oe0GxbxdRiIfOs0=uEurx$I,nfo7>3x66t6
&fct*(&Ta%P3787bxc$*yg7IE<:8*Lh2(9KsigO7>I:tb-a3:it-t#'M5ddt;npM9Ry*R8P"
http:BBwww.pmbf.ait.ac.thBwwwBimagesBpmbfdocBresearchBreportSshaha8arul.pdf
http:BBdspace.bracu.ac.bdBbitstreamBhandleB'(CL'B';;5BInternship)<(report.pdfNse2uenceO'
www.stockbangladesh.com
www.bd4ipo.blogspot.com
www.sec.bd.com
www.bdstock.com
www.dsebd.org
Book Building Method Problems and its Implementation| 1&